help mortage advise

griffiths0506

hi
i was wondering if anyone could give me advise, i have applied for a mortgage and it has come back as i cant afford it i do not understand

my rent per month is £360
with the mortgage it will be £200

i have paid the rent for the past year how can this be, it is very frustrating. if i had the mortgage i would be able to raise my credit file

thanks

kingstreet

The rent you pay is totally unrelated to the ability you have to meet a mortgage commitment.

Use your selected lender's online affordability calculator to establish what is realistic for your;-

income (gross annual basic plus gross annual bonus/overtime etc)
credit commitments/maintenance
dependents
term
other costs, such as shared ownership rent or shared equity cost.

ACG

How much is your income?
Do you have any credit commitments?

General rule of thumb is you can borrow 4x income however if you have a lot of debt or want the mortgage over a short term this may be reduced.

hazyjo

Don't forget you'll obviously have to pay for your own maintenance (or service charge, etc if a flat). If your boiler packs up, you won't be able to ring a landlord. If a tile falls off the roof, you will be paying for it.

As above, it is not just what you think you can afford, or what you currently pay on rent.

The bank would be lending you that money and they need to protect their own interest in that risk.

Jx